TechFlow reports that the Celo development team, cLabs, has proposed a new initiative to transition Celo from an independent EVM-compatible Layer 1 blockchain to an Ethereum Layer 2 network.
After months of research and initial discussions with the Ethereum community, the proposal outlines an architectural plan for migrating the Celo blockchain to Ethereum L2 using the OP Stack. Key differentiators in the proposal include implementing Byzantine fault-tolerant consensus via a decentralized sequencer supported by Celo's existing validator set, off-chain data availability layers powered by EigenLayer and EigenDA and operated by Ethereum node operators, and protection through ETH restaking.
With this technical upgrade, the Celo ecosystem can continue fostering a financially inclusive community and open Web3 innovation, bringing real-world use cases into the Ethereum ecosystem.
Major benefits of transitioning to an Ethereum L2 include improved consistency and EVM compatibility, stronger security guarantees, and simplified liquidity sharing between Celo and Ethereum.
The community will hold a governance call on July 21 at Pacific Time, followed by a governance proposal to gauge community sentiment.
